My accountant is telling me that we should just keep it on my tax return for 2023 as a rental, and not primary, since I have too much income from the studio I airbnb.

Thanks for the info Account Closed

It's important to carefully consider any decisions to expand your portfolio, especially when it involves taking on significant debt.In this case, it seems like the numbers may not necessarily work in your favor right now.

If it’s the former, that’s likely a myth for this type of project; the latter is understandably frustrating and costly if financing involved.

You've got a technical problem that involves several things.

But be sure to ask your accountant even if it’s just the local H&R Block guy because it’s probably all a tax write off.

Definitely want to talk to your accountant about the hurdles to make sure you do it properly.

It's nice to know that you are taking into account the quality of life for your tenants and if that floor will benefit them.

But, I don't feel like we should get involved in any of this and simply continue to collect rent and tell them to work it out amongst themselves, since we can't prove anything one way or the other.Anyone have any thoughts on the subject, or experience?

So I'm wondering if I maybe messed up when it comes to accounting and taxes while rehabbing a house to rent.